Hulu Owners Decide to Keep Stakes

7/12/2013 3:17PM

The media companies that own Hulu opted not to sell the online video site, announcing that instead they will maintain their stakes and recapitalize the company with a $750 million cash infusion Amol Sharma reports on digits.

This transcript has been automatically generated and may not be 100% accurate.

... I ... digits at the beest live I'm Simon Constable ... getting a cash infusion ... it's another ... pot of the saga that is the ... new store and got ... some of the media marketing group at the will Street gentle to tell us more about this ... I ... well the the headline here is that the owners ... of Hulu's and the media companies that own who decided not to sell ... the video site this was ... an option than going on for the last few weeks there is a lot of speculation even at the Sun Valley Conference ... Mimi conferences going on now that this deal was about to happen ... DirecTV was rumored to be the buyer may be a TNT and Peter Chernin were going to be the buyers when now turns that no one to be the buyer ... is no sell and then on the no one in Utah but ended up putting the seven hundred and fifty million dollars which is a lot of money the invite the corporation status ... let's mention here that the owners are twenty Sentry faux wall Disney and cut and Comcast ... and the will Street gentle was prime time news Coldwell owns the will power the same corporation as pleasant talks until last month ... yes the the ... of those come easy mentioned it decided to put in ... this cash infusion they're basically trying ... to ... re energize this company it it's in their main competitors are basically Netflix and Amazon but do is kind of an entry of trying to figure out ... we wanna focus on a free ... ad supported site and we wanted to ... what's involved which is a subscription business that then Netflix's made so popular ... and I think what's happening here is they've all decided they are going to emphasize the subscription side more there was a fight between ... Fox and Disney over that ... in recent months and I think that ... that question is largely going to be settled after that and and that's interesting because it if they were trying to sell it what what you would be fine with the uber hip last fall but you honestly necessarily getting any along some content that although the contracts they have withheld Mr. by the concept ... becomes an issue with any platform ... that was always the big issue in this process was ... how much of that hit network TV content are you going to ... package in with this deal if you sell loop ... and that they are the networks remember the companies that bet on who are are the companies that have ABC NBC and Fox network and that's all the hit ... TV shows except for CBS which isn't part of it ... so they had to agreed to license the content that whoever buys the science ... and that was a complicated process they were willing to do it for a very long-term ... and all sorts of restrictions they want to put on it ... that dampen the value of the size and a very complicated deal them to make so it can become a lawless land so they would keep it and they keep a bit more control over on some great stuff interesting story ... also will be much more to come on this